JAM (Jan Dhan, Aadhaar and Mobile) is a social revolution
JAM revolution (Jan Dhan, Aadhaar and Mobile) is nothing short of a social revolution because it has brought together financial inclusion (PMJDY), biometric identification (Aadhaar) and mobile telecommunications, finance.
JAM revolution – Highlights
JAM, a term coined, and a vision conceptualized, by our Chief Economic Adviser, is nothing short of a social revolution because it has brought together financial inclusion (PMJDY), biometric identification (Aadhaar) and mobile telecommunications.
The JAM social revolution offers substantial benefits for government, the economy and especially the poor.
The poor will have access to financial services and be cushioned against life’s major shocks. Government finances will be improved because of the reduced subsidy burden; at the same time, government will also be legitimized and strengthened because it can transfer resources to citizens faster and more reliably and with less leakage.
About 52.4 crore unique Aadhaar numbers are linked to 73.62 crore accounts in India. The reach of ‘1 billion-1 billion-1 billion’ vision of financial inclusion, recounting the success of three-year old plan that began with an ambitious attempt to bring formal banking to every household.
That is 1 billion unique Aadhaar numbers linked to 1 billion bank accounts and 1 billion mobile phones. Once that is done, all of India can become part of the financial and digital mainstream.
Besides, the government now makes direct transfer of Rs 74,000 crore to the financial accounts of 35 crore beneficiaries annually, at more than Rs 6,000 crore per month for the various government anti-poverty and support schemes such as PAHAL, MNREGA, old age pensions, student scholarships, etc.
Now with the BHIM app and the Unified Payments Interface (UPI), JAM can become fully operational.
Just as GST created one tax, one market, one India, the PMJDY and the JAM revolution can link all Indians into one common financial, economic, and digital space. No Indian will be outside the mainstream.